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| Author: | Hendricks, K. B. Singhal, V. R. |
| Title: | Does implementing an effective TQM program actually improve operating performance? Empirical evidence from firms that have won quality awards |
| Journal: | Management Science
1997 : SEP, VOL. 43:9, p. 1258-1274 |
| Index terms: | TOTAL QUALITY MANAGEMENT QUALITY INCOMES COSTS SALES FINANCIAL PERFORMANCE |
| Language: | eng |
| Abstract: | This article explores the hypothesis that implementing effective total quality management (TQM) programs improves the operating performance of firms. The winning of a quality award is used as a proxy for the effective implementation of TQM programs. The results provide evidence that firms that have won quality awards outperform a control sample on operating income-based measures. The evidence supports the hypothesis that implementing effective TQM programs improves the operating performance of the firms. Criticisms about the systems of quality awards are unnecessary and misplaced. |
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